Axsome Therapeutics, Inc. (AXSM): A Bull Case Theory

We came across a bullish thesis on Axsome Therapeutics, Inc. on X.com by @MoneyShow. In this article, we will summarize the bulls’ thesis on AXSM. Axsome Therapeutics, Inc.'s share was trading at $163.19 as of February 26th. AXSM’s forward P/E was 370.37 according to Yahoo Finance.

Axsome Therapeutics, Inc., a biopharmaceutical company, develops and delivers novel therapies for the management of central nervous system disorders in the United States. Axsome Therapeutics, is emerging as a differentiated neuro-focused biotech with multiple commercial assets and a late-stage pipeline targeting large, underserved markets. Unlike many single-asset peers, Axsome already has three products on the market, providing a diversified and rapidly expanding revenue base.

Its lead product, Auvelity for major depressive disorder, is the primary growth engine, with sales rising 69% in 3rd quarter and management projecting peak sales of roughly $2 billion—around four times its current run-rate. Sunosi, indicated for sleep apnea, posted 35% growth last quarter, while Symbravo for acute migraines has recently launched and is expected to scale toward a $400 million peak opportunity, similar to Sunosi’s long-term potential.

The pipeline further strengthens the growth narrative. AXS-12 for narcolepsy is viewed as a potential $500 million product, while AXS-05 for Alzheimer’s agitation, with possible approval in the first half of 2026, could exceed $1.5 billion in peak sales. Another Phase III candidate targeting ADHD and related indications may represent an additional $1 billion opportunity.

Commercial momentum is already evident, with overall sales rising 63% and 72% in the past two quarters, and analysts forecasting 50%+ growth next year. While profitability remains ahead, breakeven is expected in 2026 as scale improves. After consolidating for nine months, the stock has broken to new highs, suggesting improving sentiment. With accelerating revenues and multiple regulatory catalysts ahead, Axsome presents a compelling growth story with meaningful upside potential.